According to recent statistics from the U.S. Census Bureau, 64.2 percent of Americans are homeowners. The Tax Cuts and Jobs Act (TCJA), combined with rising mortgage rates, could impact that statistic. For now, prospective buyers and homeowners need to contend with what has and hasn’t changed with respect to tax breaks for homeownership as a result of this tax legislation. Some of the tax rules are permanent, some are temporary, and some expired at the end of 2017 but could be extended for 2018 and beyond.

Buying a Home

There is no special tax incentive for buying a home. When the housing market collapsed a decade ago, there were tax credits to incentivize purchases, but they no longer apply.